I want you to protect yourself, I want you to be educated, and I don’t want you to be scammed…There are three things you NEED to know about Passive Income.
1. Passive Income Isn’t Always Passive
Let’s take an example most people use. Real Estate.
Many people think:
“Oh I’ll just buy the property and then I can rent it out and boom – I’ll have some passive income.”
But does it really work that way?
You see, when you own a piece of property, it’s not that much different than owning a business.
You need to screen tenants to make sure your property isn’t going to be damaged.
You need to manage the property if something breaks or needs replacing.
And you may even need to renovate or move something.
And yeah, you could hire a team to handle these things for you…
But basically, there’s always work involved.
All the passive income takes a LOT of work.
It always requires effort.
So there’s nothing wrong with wanting passive income. But there’s a huge problem with wanting it without working for it.
And I’ve noticed that people who create goals like that – with the ultimate intention of not doing anything…
They never achieve their goal.
Because it’s like saying to yourself:
“How can I get the most, with the least amount of work?”
“What can I get away with?”
So remember, #1:
Passive income takes work.
2. Passive Income Takes Time
Let’s say you have your own blog.
And let’s say your goal is to use it to quit your job and stop going to an office you hate everyday.
Or let’s say you want to use this new blog to support your ultimate goal of travelling the world…
That’s a great goal.
But is that going to happen immediately?
Most likely not.
It might take a few months to reach that goal…
You have to build your audience.
You have to write articles everyday.
And you have to do Joint Ventures with other bloggers and influencers.
And that doesn’t sound very quick or easy to me.
Now of course, if you keep working at it for a long time, it may start to become very profitable. Or it may start slow and then quickly grow…
But until it does (which in some cases may take years) you may not see a lot of results for your hard work. And that’s just how it works.
3. Passive Income Is Never Permanent
I have seen a few automated businesses and investments that were doing really well . And it got to a point where even if nothing was done, the owners could live very comfortably.
However, I soon found out that just because something works today, it doesn’t mean it’ll be working tomorrow.
And I’m not the only one that found this out…
There’s this guy who was killing it online (more than 1 mil/year), but a few short years later, he was making zip from doing the same thing.
He was the master with Google. He had cracked the system.”
But guess what happened?
That’s right, Google changed their algorithm. And just like that – his passive income came to a screaming stop.
And that’s what most people don’t understand
Just because you may have Passive Income today, doesn’t mean you’ll have it tomorrow.
What I Recommend You Do First
If “Passive Income” is not so passive, not so quick, and not so permanent – what should you do?
Here’s my recommendation.
Focus on maximizing your Active Income first…
Don’t try to chase this passive thing yet.
After you maximize how fast you can fill your pockets every month…
Then, you can take some of that excess every month and you can make investments and do other things with it that will start growing something for you passively.
But if you’re not even bringing in that much actively…
Forget it. Start there first.
If you focus on Passive Income before Active Income – you’ll end up with No Income.